Dresser-Rand's Le Havre Facility Adding LNG Test Facility

Dresser-Rand Group intends to extend its test capabilities by constructing a new LNG (liquefied natural gas) test facility in Le Havre, France. This new test facility will have the capability to test very high flow / high horsepower applications. The new facility, together with additional small steam turbine business activity in Le Havre, will add about 70 new employees in 2006/2007 to its French operations, which consist today of approximately 640 people. Additionally, we believe that this overall program will generate significant incremental business activities within the local economy.

Vincent R. Volpe Jr., President and CEO of Dresser-Rand Group Inc., said that "Le Havre was chosen because of the extensive experience its employees have in the field of centrifugal compressor design and testing and the financial commitments made by the local and regional communities. Direct financial contributions are being made by Communaute de l'Aggmomeration Havraise (CODAH), Communaute de Communes de St Romain de Colbosc, Seine Maritime Department and Haute Normandie Region. Additionally, the grant for investment confirmed by Nicolas Sarkozy, Minister of Interior and Territory Development, during his visit in Le Havre on January 19, and the grant allocated for new employment by Department and Region, contributed to the Company's decision to invest in the Le Havre operation."

This project has the support of the Le Havre Development team and its President, Antoine Rufenacht, the Mayor of Le Havre and the President of CODAH. It is expected to help facilitate relationships with communities, the Le Havre Port Authority for site location, the Public Administration and energy suppliers (Gaz de France and Electricite de France).

This new facility will allow Dresser-Rand to complete extensive load tests on high horsepower / high flow compressor trains driven by electric motors or large gas turbines. Startup is targeted for 2007.

The Company expects that the potential project will require an investment of approximately $24 million, which may be funded, from a variety of sources including those mentioned above.

Dresser-Rand is among the largest suppliers of rotating equipment solutions to the worldwide oil, gas, petrochemical, and process industries. The Company operates manufacturing facilities in the United States, France, Germany, Norway, India, and Brazil, and maintains a network of 24 service and support centers covering 105 countries.

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